Allianz: Expects Strong Decline In Variable Annuities Operations Rest 09
May 13 2009 - 5:52AM
Dow Jones News
Allianz SE (AZ) expects a strong decline in its variable-annuity
business in the remainder of 2009, Chief Financial Officer Helmut
Perlet said Wednesday.
However Allianz expects no need for job cuts at its U.S.
operations, Perlet said on a conference call with journalists
following the company's first-quarter earnings.
As announced at the end of 2008, Allianz said in its earnings
report it has actively addressed product issues in the U.S,
discontinuing some products, modifying and repricing others.
The company said it doesn't expect the first-quarter spike in
the sales of variable-annuity products to continue in the remainder
of 2009.
"We expect significantly lower sales of these products
throughout the rest of the year," Allianz said.
Perlet said Allianz is in the process of developing a new
variable-annuity product of which the launch can be expected in the
second or third quarter.
In the U.S. quarterly premiums in life/health insurance business
were up 38%, or EUR508 million.
Company Web site: www.allianz.com
-By Ulrike Dauer, Dow Jones Newswires; +49 69 29725 500;
ulrike.dauer@dowjones.com